Guernsey's first significant just and equitable winding up

Jon Barclay and Alasdair Davidson have obtained orders for the compulsory liquidation of Midland Resources Holding Limited, an international joint venture holding company, on just and equitable grounds. Bedell Cristin represented a 50% shareholder and established, amongst other things, that a director had been wrongly excluded from management, that the board was deadlocked, and that the directors were not in full control of the affairs of the company. After a 3-day trial, the Royal Court upheld submissions that English equitable principles emerging from Ebrahimi v Westbourne Galleries [1973] AC 360 apply with equal force in Guernsey. An application for a stay of execution pending appeal was refused. The full judgment will be published shortly.